Last year the Group
invested more than R177 million in enterprise and supplier development in line
with its continued commitment to giving market access to an increasing supplier
A large percentage of
its fresh produce suppliers are small- to medium-sized businesses, with more
than half of them delivering on contracts worth less than R500 000 a year.
While job creation
and economic growth rely on the development of entrepreneurs and small and
medium businesses, poor economic conditions and regulatory obstacles stand in
the way of entrepreneurial growth. Shoprite helps entrepreneurs overcome one of
their major obstacles – gaining access to market – by sourcing as much as
possible from local suppliers.
The Group also help
suppliers, where necessary, in planning, product mix and training to ensure the
partnership is sustainable and mutually beneficial.
Shoprite has been
active for some years in establishing and maintaining a support ecosystem for
small businesses and entrepreneurs amongst its suppliers, whose success is
essential for economic growth and job creation.
One such supplier,
Elias Pangane, a vegetable grower from the Hazyview community in Mpumalanga,
has seen his business expand substantially since doing business with Shoprite.
Pangane, who started
out selling vegetables to tourists and locals along the side of the road, now
supplies butternut, green beans, chillies and tomatoes to stores across the
Group’s Gauteng division.
Each year he has been
able to supply more produce to the stores as his business continues to grow,
and he now employs 30 people, some of which are provided with a place to live
on the farm.
With an annual
turnover of R165 million, Verigreen is the only Black-owned plastic
manufacturing and recycling company in South Africa.
Its flagship brand of
plastic bags, Supa Mama, empowers unemployed Black women in KwaZulu-Natal
through its waste collection and recycling programme. It pays the women a
premium rate for the uncontaminated plastic waste they collect, which is recycled
and used in the making of Supa Mama products.
Thina Maziya describes the partnership with Shoprite as “a massive boost for
Sharon Rambally, who
farms in KwaDukuza on KwaZulu-Natal’s north coast, was planting okra, calabash,
beans and other vegetables but did not have any security of supply until she
approached Shoprite in 2013.
Since then, her
business has increased over 100% in rand value and gram weight and she now
supplies to eight stores in the region.
Edwin Mabotsa started
hydroponic farming in Windsorton in the Northern Cape, an area which was
reeling after mining investment dried up. Beset by start-up difficulties, he
almost gave up when Shoprite approached him to ask if he would plant cucumbers
as there was a shortage of growers.
Hydroponics cooperative, has grown from being able to supply a few crates a
week 10 years ago to become a national supplier, employing 14 permanent
The Matsamo Community
Property Association in Mpumalanga, founded through the Land Restitution Act,
has leased land to Tomahawk, which farms papayas, bananas and sub-tropical
fruit and employs 1 400 people including seasonal work.
chairperson Moses Thumbatho says Tomahawk is transferring skills to the
community who one day may take over farming operations.
At the Coega Dairy,
Tshilidze Matshidzula is producing private label milk to the Shoprite Group,
expanding the business from one which was previously only able to sell to the
The Shoprite Group
invites potential suppliers to make contact on its Become a Supplier webpage.
For more supplier
stories click here.
Source: Shoprite Holdings